Cryptocurrency News

America at risk of becoming a ‘backwater’ without a central bank digital currency

One of the few high-profile public officials to have served under both the Obama and Trump administrations, Chris Giancarlo is a former Wall Street executive-turned-regulator widely respected by nearly all parties on Capitol Hill. As the former chairman of the Commodity Futures Trading Commission, however, his latest venture, the Digital Dollar Foundation, may test his soft touch with politicians.

Former Regulator Now Leading the Foundation Towards five pilot programs to begin this year, part of a wider effort to help the United States Take the lead in the race for a working CBDC against China.

According to Giancarlo, however, America’s priorities should not be simply fundamentalist when it comes to CBDCs:

“It’s very clear, [is] That China wants to make its digital yuan an instrument of state surveillance. […] And that’s one of the reasons why the digital dollar project, we’re so animated, because we think our new mission is to make sure that the central banks wake up to it and the US Fed wakes up to it, that these social The values ​​that brought us here are rooted in the rule of law, a free capital market, free enterprise, the realms of individual economic privacy, a new digital future for the US dollar, and we do not allow ourselves to get into that. What China is doing and matching that state surveillance approach.”

However, the race for CBDCs is not just about maintaining current US values, but also about unlocking new forms of smart contract-based value for a wider population.

“The notion of digital currency, whether sovereign and non-sovereign, tied to smart contracts, allows money to solve the age-old problem of being able to transfer it, that is, as easily as you can send. from moving around the world. Text message, but also transfer it on time. Previously, money was a temporary thing, but with a smart contract you could say, I would like to pass on my money to one of my grandchildren in the future. The money I want to program today is when they graduate college and all those contingencies can be programmed. […] With programmable digital currency, you can program it to move around the world in space today, but around the world in time. And that is such, I think, such a powerful construction. “

Ultimately, this work is part of an effort to ensure that the US maintains technological supremacy.

“You can’t stop the march of technology in time, and if you do, you become a backwater. We in the United States are always open to innovation and we must be open to this innovation as well. A prudent In a way, in a way it is in correspondence with our society that expects investors to be protected and the role of the government. […] And this is one I’m very excited to be involved in.”

Watch the full interview here: